A smaller Australia but a more dependent one: 2021 Intergenerational Report

Australia is going to be smaller, and the population will age more rapidly - that is the snapshot from the Federal Treasury. The intergenerational report is released roughly every five years, and it's intended to guide government spending over decades. This one shows more people will need to rely on the government - and there will be fewer people to keep the economy working.

Australian treasurer Josh Frydenberg holds a copy of the 2021 Intergenerational Report in Melbourne on June 28, 2021. Source: AFP

Federal Treasurer Josh Frydenberg had the unenviable task of delivering 2021's Intergenerational Report (IGR).

Thanks to the pandemic, the report shows Australia is heading towards a major post-pandemic pinch.

That's because migration to Australia has plummeted in pandemic times, and slowing birth rates are not able to keep up with an ageing population.

"The 2015 IGR projected that Australia's population would reach almost 40 million people by 2054-55. This IGR projects the population will reach 38.8 million in 2060-61. This is the first time there has been a downward revision of the population forecast in an IGR."

With fertility rates falling, the Treasurer says migrants will continue to be Australia's largest source of population growth.

The report highlights that with this ageing population, spending on health, aged care and the NDIS will also grow significantly.

Another factor affecting not just Australia but the whole world is climate change.

 

Click on the player at the top of the page to listen to the audio in Punjabi.

People in Australia must stay at least 1.5 meters away from others. Check your state’s restrictions on gathering limits.

If you are experiencing cold or flu symptoms, stay home and arrange a test by calling your doctor or contact the Coronavirus Health Information Hotline on 1800 020 080. News and information is available in 63 languages at sbs.com.au/coronavirus

Listen to SBS Punjabi Monday to Friday at 9 pm. Follow us on Facebook and Twitter.